Finance Classic - Financial News

Microcredit is very small loans to the unemployed or to the persons who are living in poverty. This small loan can be given to the poor entrepreneurs also.

It can be called a new financial innovation to the developing countries. The people have accepted this concept mirthfully and they have started their life in a new way. Especially the women are very much encouraged by this small finance which is given to them to start their life in better way. In the developing countries most of the women are unemployed and they had to depend on others, but this project is giving them a light in their life and to believe themselves.
Micro credit system allows them to generate income, to build wealth and to avoid poverty. The UN declared 2005 is the “International Year of Microcredit”.

It can be seen in most part of the world that the women are the center of focus of many
micro credit institutions and agencies. There are some causes behind this trend. Loans to the women tend to benefit more to the whole family than to men do. And also giving loans to the women raises their socio-economic status. It is the positive change to the women of their current relationship of gender and class.